Nigeria Needs $2Bn Monthly for Sustainability as FG Builds Oil Reserves
The Department of Petroleum Resources (DPR) boss, Sarki Auwalu, has reiterated plans to growing oil reserves and increasing production capacity through recovery factor by at least 5 percent, noted that Nigeria needs $2 billion monthly for fiscal sustainability.
In a statement posted on its website, DPR Auwalu pointed out that since the establishment of the Nigeria Oil and Gas Excellence Center (NOGEC), the country had so far received at least $20 billion worth of investment proposals from foreign investors.
‘Immediately after the commissioning of the excellence centre, a lot of investment houses across the borders of Nigeria indicated their interest to come into Nigeria because of the transparency and predictability of the nation.
‘As it is now, the excellence centre is to drive value through safety and enhance cost efficiency. This attracted investors and as you can see, we put a lot of emphasis on data because it is an ingredient of decision making and ingredients of investors’.
He said the investment is coming from a lot of investors across the globe, stating their commitment to partner with companies that can prove their competence.
On the recently concluded marginal fields bid round, he said the Department is expecting an additional 100,000 barrels to be produced by 2024 even as more modular refineries spring up across the country.
‘We have a refinery revolution coming up and in fact by 2025, we may have domestic refining capacity with NNPC refinery, 455,000, Dangote 650,000, BUA 200,000 and others combined, we will be talking about 2 million in the next 5 years.
Also speaking, the Executive Secretary, Nigerian Extractive Industries Transparency Initiative (NEITI), Dr. Orji Ogbonnaya Orji, said his visit to the Department is expository, adding that the Department has upgraded and now current with data and information.
He said in recent times, the Department has invested a lot in data, saying that the NOGEC centre of the Department has authorized lots of investment while also addressing the fears and concerns of NEITI on data in terms of crude produced, imported, exported, management of crude and tracking real time the development of the oil and gas sector.
‘I think after the visit, our position and concern that we do not know how much crude oil we are producing have been substantially addressed. We raised alarm for processes to change, process lapses to be addressed and the DPR is on the verge of addressing that major gap,’ he said.
He added: ‘We still have lots of challenges in terms of oil theft, outright sabotage and conspiracy against the whole process. This is still a huge challenge which requires lots of cooperation to address. I hope the work that is already ongoing should be completed full time and expanded to cope with the dynamic changes in the industry.’
Nigeria Needs $2Bn Monthly for Sustainability as FG Builds Oil Reserves
